CIC2.0 Open.gov has to come to Condo, Coop & Hoa's

Wow what a giant dark hole we are prying the lid open on when we come to think of Open Gov as it relates to Common Interest Communities (CIC).   This is so far removed from the minds of those enabling, - NO! MANDATING- it that in some US States you don't even have to be told that your home is a combined assets of a nonstock company.  And, as the CIC goes~So does your home.

Eample! Right now in the shadow of Congress and every Agency that is espousing OPEN.data.Gov/.Org new home owners  moving into a Single Family or Townhouse Homeowners Associations (HOA) arn't told about the rules or the finances of the HOA.   That means the biggest financial decision these folks will face in most of their lives~ they will have no information about the investment it rules, finances or even it's existence.   How can our GOV makes disclosure of these things for securities and does not for the homeowner in an associations. How can the Federal Gov back loans in areas that don't offer this basic disclosure to the majority of new home buyers.

Because of this oversight or lack of it the management companies & boards operate in the dark to the membership.  There is no enacted law to ensure this does not happen. Yet there is a uniform law that is being used in VA and partially in MD that would help in the dark homeowners. BTW we can see by resales states that have done so fair better.   I have been to more then one reboot of a HOA after they found the management company or someone with access to the funds stole their money.  It just makes sense a concepts like a Disclosure law;  Yet afters years of seeking one none exist.

In Maryland we get to see the downfall of not enacting the financial disclosure requirements that States like Virginia and Washington  along with the Bylaw, Covenants, rules and regulations (aka CondoHOA Docs) who require financial disclosure for resales in Single Family & Townhouse HOA's.  In Maryland resale buyers when buying their home face a decision about a company/community and they don't get any details in the form of a balance sheet, audited statement or any financial disclosure for that matter . What does the homeowner  have to do to get one leader to step up to the plate this makes no sense.

I am sorry to say that until there is some leadership on the National or State level communities themselves are going to be two steps behind.  However, communities can jump  ahead by making  records available to your members/owners any Gov or Emergency responder that need access to data/info on the cloud.  

Bail-Out Deadlines and what they forgot to print in the Post.

Bail-Out Deadlines by E-Mail - washingtonpost.com

Bail-Out Deadlines by E-Mail

By Elizabeth Razzi
Sunday, July 15, 2007; Page F05

Buying a condominium? A house in a neighborhood run by a homeowners association? You had better stay on top of your e-mail.

A very large and extremely important document could be coming your way. Its arrival starts the clock ticking on a short period during which you can cancel the deal, should you desire to back out of your purchase contract.
New laws that took effect in Virginia on July 1 change the process for distributing the extensive disclosure packages that must be given to anyone buying a home that is part of a condo or homeowners association. While the law directly affects Virginians, buyers in the District and Maryland, where the disclosure requirements are not as detailed as they are in the Old Dominion, may find the effects spilling over as management companies that do business in all three jurisdictions adopt new practices.

If your in the District of Columbia and you happen to live in a Townhouse or Singe Family Homeowner Association you can stop reading this article here.

Why?

Because the leaders of the District have failed for years now at mine and others prodding to establish an HOA Act which is what is the triggering mechanism in this need to disclose. As the District does not have such an Act there is no specific law as is the case in MD or VA to disclose anything about rules and regulations.

Whats more in Maryland the HOA Act does not require that financial information about the community be provided to the buyer. So the budget, pending litigations or special assessments are made available to the new homeowners after they move in. Seem pretty fair to me and you too I bet. Having heard one of the principle in this ruse brag about how they fought to keep this from becoming part of the law. I have to wonder of the community and homeowners share this excitement with them. What I was told is that it would be too hard to provide this information at closing time.

So is there any wonder in what area of the housing market the last foot will fall. If you have been reading this blog you know that I know that HOA and Condo fees are not being paid and thus these communities are running negative budgets. But since the District and Maryland don't disclose this information before settlement those perspective homeowners that are buying may not and have no idea what the status of the communities financial health is or will be in the future until rules, regulations and financial information are fully disclosed.



So I have an idea for Elizabeth why not do a story on why the District has failed to enact such a law or why Maryland does not require the Financial s to be included.

Technorati Tags: Homeowners Associations, Disclosure Laws, HOA Documnets, Rules & regulations